The Canadian province of Ontario raised the price of electricity to the three states by 25%

In retaliation for US President Donald Trump's tariff action, the Canadian province of Ontario has raised the price of electricity it exports to three US states by 25%.

Ontario directed its grid Operator, the Independent Electricity System Operator, on Monday (March 10) to impose a surcharge of $10 per megawatt hour on all electricity exported to Minnesota, Michigan and New York.

Ontario Premier Doug Ford said, "Believe me, I don't want to do this." I feel sorry for the American people, and there's only one person responsible for this, and that's President Trump."

Ford last week pledged to raise the price of electricity it supplies to the United States after the decision to impose tariffs on Canadian goods took effect. Even after the White House agreed to exempt autos and some other goods covered by existing trade deals, he vowed to follow through.

Ontario's decision may be more symbolic. Prices in the US electricity spot market are based on short-term supply and demand. This means that buyers can choose from a range of sellers without having to accept a higher price.

In a press release, Ontario said it expects to raise up to $400,000 a day from the surcharge, which "will be used to support workers, families and businesses across Ontario."

Bloomberg calculations using data from New York state's grid operator show that the state will import about 4.4 percent of its total electricity usage from Canada in 2023.

Minnesota and Michigan have even lower rates, according to the Midcontinent Independent System Operator.